Pre-pandemic most of us in the industry travelled with insurance – we knew far too many disaster stories. But we all have that friend who’d claim “that will never happen to me” as they set off overseas. However, during the pandemic and with the recent return to travel, worst-case scenarios became worst-case realities, and our relationship with travel insurance changed.
The pandemic afforded ample time to consider our mortality, as well as highlighting our need for support should things go wrong. This is when most travellers garnered a newfound appreciation for travel insurance (though not all covers are equal). We asked Dr Geoff Ramin, Allianz Partners Chief Medical Officer, to share his golden rules to help you choose the right travel insurance policy.
Know the basics
Travel insurance can step in when something unexpected happens with your travel plans, belongings, or health. Your personal circumstances impact the cover available, which is why it’s imperative to know the basics of what you’re buying:
- Check your Product Disclosure Statement (PDS) – like, yes, actually check it. This might seem like the boring bit of your holiday prep, but the PDS sets out the terms and conditions of the policy, telling you what you may be covered for and what you’re not covered for.
- Clarify what excess applies. Do you know how much you’ll pay if you make a claim on your insurance? Check the excess amount, as well as if it’s charged per claimable event.
- Know what’s covered and what’s not regardless of your personal circumstances. General Exclusions are specified events, activities or circumstances your policy will not provide cover for like acting recklessly, not wearing protective gear, illegal acts, acting under the influence, and war. Always remember there are terms, limits, conditions, and exclusions that apply.
Follow these 3 golden travel insurance rules
Rule 1: Check you’re covered if you get sick with COVID
Not every insurer is on board with COVID cover. Allianz is though and has a range of plans that offer cover under selected benefits if you get diagnosed with COVID 19. This includes insurance for overseas medical expenses and trip cancellation costs. Full or partial premium refunds are also available if unexpected COVID border closures or mandatory quarantines impact you. Terms, conditions, limits and exclusions apply.
While overseas, if you have symptoms that need urgent medical attention, an Allianz Travel Insurance policy (Comprehensive, Basic and Multi-trip) gives you access to 24/7 emergency assistance connecting you to Australian registered nurses and doctors, no matter where you are in the world.
Rule 2: Get the right amount of cover for your baggage
Airport chaos is a sad-but-true reality as travellers flock to the skies and airports try to cope with the return to pre-pandemic levels. Dr Ramin informed us that one determined traveller made a 96-hour trip back to Germany to retrieve his luggage after it was abandoned at Düsseldorf Airport!
Ramin commented, “Losing your luggage can be a major financial hit even if it is found and returned a few days into your trip.”
When checking out travel insurance policies, consider what baggage you’re bringing. If you’re travelling on the cheap, you probably won’t need the highest level of cover. However, if you are travelling with expensive clothing or equipment, you may want more cover than provided with the standard item limits. Handily, Allianz offers increased item limits cover as an additional option on their Comprehensive, Multi-Trip and Domestic policies. This provides cover in the case of loss, theft, and accidental damage to luggage, personal effects, and valuables up to the item and benefit limits listed in the PDS.
Dr Ramen’s pro-travel tip 1: “Have a backup outfit and a few pairs of underwear packed in your carry-on. Also, consider purchasing something like AirTags to put in your checked luggage and on your carry-on, which may improve your chances of locating your luggage if it gets lost.”
Rule 3: Declare medical conditions
This one often slips the minds of travellers, but be sure to declare your pre-existing medical conditions. Insurance is there to cover you for the unforeseen, and that dodgy knee you’ve been getting physio on is not unforeseen!
If you don’t declare a medical condition you know about and you get injured or sick, you may not be covered. This can be a costly slip of the mind, sometimes resulting in thousands of dollars in overseas medical bills. This doesn’t necessarily mean your medical condition isn’t coverable. Allianz provides cover for many pre-existing medical conditions. Apply to include cover for your pre-existing medical condition(s) at the time of purchase. Check all the definition of a pre-existing medical condition and what limits there are on hospital stays and medical expenses in the PDS.
Dr Ramen’s pro-travel tip 2: “If you’re travelling with a medical condition, pack enough medication for your entire trip and keep your meds in your carry-on. It could impact your health if your checked bags go astray with your medication in them! Also, take your prescription in case you are away longer than planned.”
Got the wrong cover? It’s not too late!
Has reading this made you realise you’ve just bought a policy that doesn’t suit? No worries! All insurance policies come with a 14-day cooling-off period, so you have some leeway to make changes within that timeframe.
To discover the best Allianz travel insurance product for your trip, visit Allianz Travel.
Travel Insurance is issued and managed by AWP Australia Pty Ltd ABN 52 097 227 177 AFS Licence No. 245631, trading as Allianz Global Assistance (AGA) as agent of the insurer Allianz Australia Insurance Limited ABN 15 000 122 850 AFS Licence No. 234708 (Allianz). Travel Insurance is underwritten by the insurer Allianz. Conditions, terms, limits and exclusions apply. We do not provide advice based on any consideration of your objectives, financial situation or needs. Before making a decision, please consider the Product Disclosure Statement and Target Market Determination available at www.allianz.com.au. If you purchase this insurance, AGA will receive a commission that is a percentage of the premium. Ask us for more details before we provide you with any services on this product.
